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How to solve Which of the following is not a sufficient criterion for a lessee to classify a lease as a capital lease? A )
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Which of the following is not a sufficient criterion for a lessee to classify a lease as a capital lease?
A The lease transfers ownership of the leased asset to the lessee at the end of the lease term.
B The lessee has the option of acquiring the asset during or at the end of the lease term at a bargain price.
C The lease term is greater than twothirds of the economic life of the asset.
D The present value of the minimum lease payments is at least of the fair value of the leased asset.
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